Following representations made to HMRC by the NI Tax Committee of Chartered Accountants Ireland, the deadline for use of the VAT margin scheme for second-hand vehicles located in Northern Ireland on 1 May 2023 that were sourced from Great Britain has been extended from 31 October 2023 to 30 April 2024.
Prior to this extension there was a cliff edge at 31 October 2023 following which output VAT would have been due on the full selling price of the above GB vehicles rather than on the profit margin. The extension to 30 April 2024 gives dealers more time to sell these particular vehicles under the margin scheme.
EDDIE BROOMFIELD - VAT Senior Manager
